Quarterly Report for Quarter Ending June 30, 2025 (Form 10-Q)

Management's Discussion and Analysis of Financial Condition and Results of Operations.

FORWARD-LOOKING STATEMENTS

This quarterly report on form 10-Q (the "Quarterly Report") of Palisades Venture, Inc. ("the Company", "we", "us") contains forward-looking statements, which can be identified by the use of words such as such "estimate," "project," "believe," "intend," "anticipate," "plan," "seek," "expect," "will," "would," "should," "could" or "may," and words of similar meaning. These forward-looking statements include, but are not limited to:

	·	statements of our goals, intentions and expectations;
	·	statements regarding our business plans, prospects, growth and operating strategies;
	·	statements regarding the quality of our loan and investment portfolios; and
	·	estimates of our risks and future costs and benefits.

These forward-looking statements are based on the current beliefs and expectations of our management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. Accordingly, you should not place undue reliance on such statements. We are under no duty to and do not take any obligation to update any forward-looking statements after the date of this Quarterly Report.

The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statements:

	·	general economic conditions, either nationally or in our market area that are worse than expected;
	·	our ability to access cost-effective funding;
	·	our ability to implement and change our business strategies;
	·	adverse changes in the securities markets;
	·	our ability to enter new markets successfully and capitalize on growth opportunities;
	·	our ability to retain key employees;
	·	material weakness or significant deficiency in our internal controls over financial reporting; and

Our results may be materially different from those indicated by these forward-looking statements. Given these uncertainties, readers of this quarterly report are cautioned not to place undue reliance on such forward-looking statements. We disclaim any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements contained herein to reflect future events or developments.

Overview

Palisades Venture, Inc., is a datacenter and computer storage company based in the US. The Company was formed in 2021 primarily to absorb the assets of Landmark PMG LLC (d/b/a 4Service Cloud Tech) - one of the subsidiaries of CorpTech Holding Inc., for 25,000,000 shares of our restricted common stock and $300,000, through an Asset Purchase Agreement, dated July 27, 2021.

The Company is engaged in the cloud computing segment of the technology sector as well as IT business continuity, disaster recovery and Cyber Security.

In the past 10 years, 4Service Cloud Tech and Riteman have provided corporate clients with an array of managed technology services in data protection, cyber security and business continuation with real time disaster recovery solutions.

Since 2011, the company implemented secured cloud computing solutions and today 4Service is considered to have a implemented based on existing top manufacturers and providers of hardware and software solutions, such as Cisco, Checkpoint, Dell, HP, EMC2, VMWare and Microsoft.

4Service is a business continuity solutions provider that specializes in cloud computing and disaster recovery services. 4Service offers a 3-Tier approach to our disaster recovery strategy and our private managed cloud computing offering is comprised of the best-in-class of industry leading equipment and software solutions. Utilizing the newest desktop and server virtualization technologies, our cloud computing solution allows any organization, regardless of size, to gain a world-class infrastructure and dramatically cut its IT costs across the board.

Riteman is a managed services provider specializing in high-end technical and professional services with a focus on infrastructure virtualization. IT@Once offers a full array of IT solutions and has a proven track record in deploying, implementing, and managing on-premise and cloud virtualized environments.

Results of Operations for the three Months Ended June 30, 2024 as compared to the three Months Ended June 30, 2023

Revenue

Revenue for the three months ended June 30, 2025, was $49,974 compared to $41,676 for the period ended June 30, 2024.

Cost of sales

Cost of sales for the three months ended June 30, 2025, was $7,764 compared to $7,386 for the period ended June 30, 2024.

Operating expenses

Operating expenses were $53,330 for the three months ended June 30, 2025, compared to $22,961 for the three months ended June 30, 2024, an increase of $30,369. The increase was mainly due to compensation of $36,000 for Mr. Rechtman's services to the Company.

Interest expense

For the three months ended June 30, 2025 and 2024, we had interest expense of $8,280 and $7,960 respectively.

Net Income

Net loss for the three months ended June 30, 2025, was $(19,400) compared to net income of $2,919 for the three months ended June 30, 2024. The loss for the period is due to an increase in operating expenses during the period.

Results of Operations for the Six Months Ended June 30, 2024 as Compared to the Six Months Ended June 30, 2023.

Revenue

Revenue for the six months ended June 30, 2025, was $101,075 compared to $89,672 for the period ended June 30, 2024.

Cost of sales

Cost of sales for the six months ended June 30, 2025, was $15,960 compared to $15,702 for the six months ended June 30, 2024.

Operating expenses

Operating expenses were $113,505 for the six months ended June 30, 2025, compared to $46,656 for the six months ended June 30, 2024, an increase of $66,849. The increase was mainly due to compensation paid to Mr. Rechtman of $72,000 for the period for his services to the Company

Interest expense

For the three months ended June 30, 2025 and 2024, we had interest expense of $16,560 and $15,868 respectively.

Net Income

Net loss for the six months ended June 30, 2025, was $(44,950) compared to net income of $11,446 for the six months ended June 30, 2024. The loss for the period is due to an increase in operating expenses during the period.

LIQUIDITY AND CAPITAL RESOURCES

The accompanying unaudited financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates continuity of operations, realization of assets, and liquidation of liabilities in the normal course of business. As shown in the accompanying unaudited financial statements, the Company has an accumulated deficit of $(483,804) as of June 30, 2025. For the six months ended June 30, 2025, the Company had a net loss of $(44,950). We used 33,584 cash in operating activities. Due to these conditions, it raises substantial doubt about the Company's ability to continue as a going concern.

Net cash used in operating activities was $(33,584) during the six months ended June 30, 2025, compared to 17,509 for the six months ended June 30, 20243.

Net cash provided by financing activities was $33,733 and $(20,770) for the six months ended June 30, 2025 and 2024, respectively.

Over the next twelve months, we expect our principal source of liquidity will be raised from the sale of stock, a private placement offering or from an institutional lender.

Off-Balance Sheet Arrangements

We do not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to investors.

Critical Accounting Policies

We have identified the policies outlined below as critical to our business operations and an understanding of our results of operations. The list is not intended to be a comprehensive list of all our accounting policies. In many cases, the accounting treatment of a particular transaction is specifically dictated by accounting principles generally accepted in the United States, with no need for management's judgment in their application. The impact and any associated risks related to these policies on our business operations is discussed throughout management's Discussion and Analysis or Plan of Operation where such policies affect our reported and expected financial results. Note that our preparation of the financial statements requires us to make estimates and assumptions that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities at the date of our financial statements, and the reported amounts of revenue and expenses during the reporting period. There can be no assurance that actual results will not differ from those estimates.